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PROVINCE SETS ANOTHER GAS WELL DRILLING RECORD

Released on November 25, 2003

Saskatchewan has set its fifth consecutive record for the annual number of natural gas wells drilled in the province.

To date, 2,134 gas wells have been drilled breaking last year's record of 1,874 gas wells.

"This is good news for Saskatchewan. The oil and gas industry is a major economic driver, generating $1 billion in revenue and 22,000 jobs for the province last year," Industry and Resources Minister Eric Cline said. "Strong gas prices, combined with the royalty and tax changes we introduced last year, have contributed to the record drilling."

On October 7th, 2002, new oil and gas royalties were introduced which makes Saskatchewan competitive with other jurisdictions in Canada.

Of the total gas wells drilled to date, 1,515 were in the Swift Current area, 433 in the Kindersley area, 179 in the Lloydminster area and seven in the Weyburn-Estevan area.

The increased gas well drilling is also being reflected in higher gas production volumes for the province. Natural gas production from gas wells is up nine per cent, averaging 701 million cubic feet per day for the first eight months of this year, compared to 645 million cubic feet per day for the same period last year.

A final total for wells drilled in 2003 will be known some time in early January.

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For More Information, Contact:

Bob Ellis
Industry and Resources
Regina
Phone: (306) 787-8277

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